Schaeffer's 43rd Anniversary Stock Picks in 2024

Stock Futures Stunned by Fear-Inducing Jobs Data

Wall Street has slower-than-expected job growth for July to unpack

Digital Content Manager
Aug 2, 2024 at 9:27 AM
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Futures on the Nasdaq-100 Index (NDX) and Dow Jones Industrial Average (DJIA) are set to open more than 300 points lower, with S&P 500 Index (SPX) futures firmly in the red as well. Resurfacing recession fears that spurred yesterday's selloff are only intensifying today after jobs data.

The Labor Department reported slower-than-expected job growth for July, with nonfarm payrolls growing by 114,000, well beneath the estimates of 185,000. The unemployment rate also rose to 4.3% and wage growth slowed, adding to the economic unease now plaguing the market.

Continue reading for more on today's market, including: 

OV Futures Chart Aug 2

5 Things You Need to Know Today

  1. The Cboe Options Exchange (CBOE) saw more than 1.9 million call contracts and 1.2 million put contracts exchanged on Thursday. The single-session equity put/call rose to 0.64, while the 21-day moving average remained at 0.66.
  2. Apple Inc (NASDAQ:AAPL) announced a top- and bottom-line beat for the second quarter after yesterday's close, thanks to strong services, iPhone, and iPad revenue. The Big Tech stock is flat ahead of the open, but is up more than 13% in 2024.
  3. Amazon.com Inc (NASDAQ:AMZN) stock is down 8.3% in premarket trading, after the e-commerce giant reported a revenue miss for the second quarter and issued a disappointing current-quarter outlook. The security still boasts a 21.1% year-to-date lead, however.
  4. Snap Inc (NYSE:SNAP) is down a 18.4% before the bell, after the social media company's forecast for the fiscal third quarterly fell dramatically short of analysts' estimates. So far this year, SNAP shed over 24%.
  5. Services, U.S. trade deficit, and consumer credit data are due out next week.

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European, Asian Markets Tumble

Asian markets plummeted on Friday, taking a cue from U.S. recession fears. With bond yields in a freefall, Japan’s Nikkei dropped 5.8% for its worst day since March 2020, according to FactSet data, placing it at its lowest levels since January. In the wake of slightly hotter-than-expected inflation data, the South Korean Kospi saw its worst day since August 2020 with a 3.7% loss, with small caps falling to their lowest level since November. China’s Shanghai Composite and Hong Kong’s Hang Seng shed 0.9% and 2.1%, respectively.

European bourses are lower as well amid the global selloff. The German DAX is leading losses with a 1.5% drop at last glance, while the French CAC 40 drops 0.8%, and London’s FTSE 100 takes a 0.2% haircut.

 

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